Now is a good time to add social commerce to your sales strategy.
Social media has increasingly become a more important channel for retail sales. According to a new report from Accenture, Why Shopping’s Set for a Social Revolution, global social commerce sales will grow from $492 billion last year to $1.2 trillion by 2025.
That growth, reports Marketing Dive, is driven by millennials and Gen Z consumers who will be responsible for 62% of those sales. Specifically, by 2025 it’s expected 33% of the spending will be done by millennials, with Gen Z consumers spending even more. Most in-demand products include clothing (18%), consumer electronics (13%), and home decor (7%).
In the past year, 64% of social media users (about 2 billion people) say they’ve bought something on social media.
This rise in revenues will give social commerce a 17% share of the overall e-commerce market (up from 10%).
However, Marketing Dive says, “Trust in social commerce remains a high barrier to entry, with half of surveyed social media users concerned that such purchases will not be protected or refunded properly—a similar challenge when e-commerce first emerged.”
And Marketing Dive adds, “Meta’s Facebook and Instagram, Snapchat, and TikTok have taken the lead on social commerce, rolling out shopping features and partnerships that seek to increase adoption by brands and consumers.”
With consumers spending more and more time on social platforms, now is a good time to add social commerce to your retail distribution channels.